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1、Part Foundations of Management Chapter 1:Management .The Evolution of Management Theory Learning ObjectiveslAfter studying,you should be able to:Explain the principle of job specialization and division of labor,and tell why the study of person-task relationships is central to the pursuit of increase
2、d efficiency.Identify the principles of administration and organization that underlie effective organizations.Trace the change in theories about how managers should behave to motivate and control employees2Learning Objectives(contd)Explain the contributions of management science to the efficient use
3、 of organizational resources.Explain why the study of the external environment and its impact on an organization has become a central issue in management thought.3Content OutlinelScientific Management TheoryJob Specialization and the Division of LaborF.W.Taylor and Scientific ManagementThe Gilbreths
4、lAdministrative Management TheoryThe Theory of BureaucracyFayols Principles of ManagementlBehavioral Management TheoryThe Work of Mary Parker FollettThe Hawthorne Studies and Human Relations4Content Outline(contd)lBehavioral Management Theory(contd)Theory X and Theory YlManagement Science TheorylOrg
5、anizational Environment TheoryThe Open Systems ViewContingency Theory5.The Evolution of Management Theory1.Scientific Management Theory 1.1 Evolution of Modern ManagementBegan in the industrial revolution in the late 19th century as:lManagers of organizations began seeking ways to better satisfy cus
6、tomer needs.lLarge-scale mechanized manufacturing began to supplanting small-scale craft production in the ways in which goods were produced.lSocial problems developed in the large groups of workers employed under the factory system.lManagers began to focus on increasing the efficiency of the worker
7、-task mix.6The Evolution of Management TheoryFigure 2.1Source:71.2 Job Specialization and the Division of LaborAdam Smith(18th century economist)Observed that firms manufactured pins in one of two different ways:lCraft-styleeach worker did all steps.lProductioneach worker specialized in one step.Rea
8、lized that job specialization resulted in much higher efficiency and productivitylBreaking down the total job allowed for the division of labor in which workers became very skilled at their specific tasks.8 1.3 F.W.Taylor and Scientific Management Scientific ManagementThe systematic study of the rel
9、ationships between people and tasks for the purpose of redesigning the work process for higher efficiency.lDefined by Frederick Taylor in the late 1800s to replace informal rule of thumb knowledge.lTaylor sought to reduce the time a worker spent on each task by optimizing the way the task was done.9
10、1.4 Four Principles of Scientific Management Principles to increase efficiency:-Study the ways jobs are performed now and determine new ways to do them.lGather detailed time and motion information.lTry different methods to see which is best.-Codify the new methods into rules.lTeach to all workers th
11、e new method.-Select workers whose skills match the rules.-Establish fair levels of performance and pay a premium for higher performance.lWorkers should benefit from higher output101.5 Problems with Scientific Management Managers frequently implemented only the increased output side of Taylors plan.
12、Workers did not share in the increased output.Specialized jobs became very boring,dull.Workers ended up distrusting the Scientific Management method.Workers could purposely“under-perform.”Management responded with increased use of machines and conveyors belts.11lRefined Taylors work and made many im
13、provements to the methodologies of time and motion studies.Time and motion studieslBreaking up each job action into its components.lFinding better ways to perform the action.lReorganizing each job action to be more efficient.lAlso studied worker-related fatigue problems caused by lighting,heating,an
14、d the design of tools and machines.122、Administrative Management TheoryAdministrative ManagementThe study of how to create an organizational structure that leads to high efficiency and effectiveness.Max WeberDeveloped the concept of bureaucracy as a formal system of organization and administration d
15、esigned to ensure efficiency and effectiveness.13Webers Principles of BureaucracyWebers Principles of BureaucracyFigure 2.2142.1 Webers Five Principles of BureaucracylAuthority is the power to hold people accountable for their actions.lPositions in the firm should be held based on performance,not so
16、cial contacts.lPosition duties are clearly identified so that people know what is expected of them.lLines of authority should be clearly identified such that workers know who reports to who.lRules,standard operating procedures(SOPs),and norms guide the firms operations.152.2 Fayols Principles of Man
17、agementlDivision of Labor:allows for job specialization.Fayol noted jobs can have too much specialization leading to poor quality and worker dissatisfaction.lAuthority and ResponsibilityFayol included both formal and informal authority resulting from special expertise.lUnity of CommandEmployees shou
18、ld have only one boss.16lLine of AuthorityA clear chain of command from top to bottom of the firm.lCentralizationThe degree to which authority rests at the top of the organization.lUnity of DirectionA single plan of action to guide the organization.2.2 Fayols Principles of Management17lEquityThe pro
19、vision of justice and the fair and impartial treatment of all employees.lOrderThe arrangement of employees where they will be of the most value to the organization and to provide career opportunities.lInitiativeThe fostering of creativity and innovation by encouraging employees to act on their own.2
20、.2 Fayols Principles of Management18lDisciplineObedient,applied,respectful employees are necessary for the organization to function.lRemuneration of PersonnelAn equitable uniform payment system that motivates contributes to organizational success.lStability of Tenure of PersonnelLong-term employment
21、 is important for the development of skills that improve the organizations performance.2.2 Fayols Principles of Management19lSubordination of Individual Interest to the Common InterestThe interest of the organization takes precedence over that of the individual employee.lEsprit de corpsComradeship,s
22、hared enthusiasm foster devotion to the common cause(organization).2.2 Fayols Principles of Management203、Behavioral Management Theory3.1 Behavioral ManagementThe study of how managers should behave to motivate employees and encourage them to perform at high levels and be committed to the achievemen
23、t of organizational goals.Focuses on the way a manager should personally manage to motivate employees.213.2 Mary Parker FollettAn influential leader in early managerial theoryHeld a horizontal view of power and authority in organizationslSuggested workers help in analyzing their jobs for improvement
24、sthe worker knows the best way to improve the job.lIf workers have relevant knowledge of the task,then they should control the task.3、Behavioral Management Theory223.3 The Hawthorne StudiesStudies of how characteristics of the work setting affected worker fatigue and performance at the Hawthorne Wor
25、ks of the Western Electric Company from 1924-1932.Worker productivity was measured at various levels of light illumination.Researchers found that regardless of whether the light levels were raised or lowered,worker productivity increased.23Human Relations ImplicationsHawthorne effectworkers responde
26、d to the attention they received and were more productive.Managers should be behaviorally trained to manage subordinates to elicit their cooperation and increase their productivity.Groups impose informal performance norms on their members(both“rate busters”and“chiselers”)Gave rise to the field of Or
27、ganizational BehaviorlThe study of the factors that have an impact on how individuals and groups respond to and act in organizations.3.3 The Hawthorne Studies243.4 Theory X and Theory YlDouglas McGregor proposed the two different sets of assumptions about workers.Theory X assumes the average worker
28、is lazy,dislikes work and will do as little as possible.lManagers must closely supervise and control through reward and punishment.Theory Y assumes workers are not lazy,want to do a good job and the job itself will determine if the worker likes the work.lManagers should allow workers greater latitud
29、e,and create an organization to stimulate the workers.25Theory X versus Theory YTheory X versus Theory YFigure 2.3Source:264、Management Science TheorylAn approach to management that uses rigorous quantitative techniques to maximize the use of organizational resources.Quantitative managementutilizes
30、linear programming,modeling,simulation systems.Operations managementtechniques to analyze all aspects of the production system.Total Quality Management(TQM)focuses on improving quality throughout an organization.Management Information Systems(MIS)provides information about the organization.275、Organ
31、izational Environment Theory5.1 Organizational EnvironmentThe set of forces and conditions that operate beyond an organizations boundaries but affect a managers ability to acquire and utilize resources.285.2 Open SystemA system that takes resources for its external environment and converts them into
32、 goods and services that are then sent back to that environment for purchase by customers.Inputs:the acquisition of external resources.Conversion:the processing of inputs into goods and services.Output:the release of finished goods into the environment.5、Organizational Environment Theory29The Organi
33、zation as an Open SystemFigure 2.4306、Contingency TheorylContingency TheoryThe idea that the organizational structures and control systems manager choose depend onare contingent oncharacteristics of the external environment in which the organization operates.Assumes there is no one best way to manag
34、e.lThe environment impacts the firm and managers must be flexible to react to environmental changes.In rapidly changing organizational environments,managers must find ways to coordinate different departments to respond quickly and effectively.31Contingency Theory of Organizational DesignContingency
35、Theory of Organizational DesignFigure 2.5Source:32lMechanistic StructureAuthority is centralized at the top.(Theory X)Employees are closely monitored and managed.Can be very efficient in a stable environment.lOrganic structureAuthority is decentralized throughout the organization.(Theory Y)Tasks and roles are left ambiguous to encourage employees to react quickly to changing environment.33